NORTHROP GRUMMAN CORP /DE/ vs RTX CORPORATION, two Aerospace & Defense stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Northrop Grumman and RTX are both defense primes, but Northrop is the leaner operator. It earns 26.74% on equity against RTX's 10.67%, keeps 10.8 cents per revenue dollar against 8.03, and the market charges much less for it, 15.67 times earnings and 4.16 times book versus RTX at 35.26 times and 3.77 times book. RTX, the larger house at a $256.5B cap, blends defense with commercial aerospace and pays a slightly slimmer 1.42% dividend against Northrop's 1.8%, though it carries no net debt against Northrop's 0.89. Northrop is more profitable and cheaper on earnings. RTX is bigger and more diversified across the commercial cycle.
Comparison updated 2026-07-11.
| Metric | NOC | RTX |
|---|---|---|
| Price | $539.53 | $195.96 |
| Market cap | $76.9B | $267.4B |
| Sector | Aerospace & Defense | Aerospace & Defense |
| Stage | Mature | Mature |
| Implied growth (priced in) | +2.9% | +22.6% |
| P/E | 16.9 | 36.8 |
| P/B | 4.49 | 3.93 |
| P/S | 1.81 | 2.96 |
| EV/EBITDA | 14.0 | 26.6 |
| Revenue growth | +4.9% | +10.5% |
| Operating margin | 10.0% | 11.6% |
| Net margin | 10.8% | 8.0% |
| Return on equity | 26.7% | 10.7% |
| Return on assets | 9.2% | 4.3% |
| Return on invested capital | 13.0% | 12.3% |
| FCF yield | 4.3% | 3.2% |
| Dividend yield | 1.7% | 1.4% |
| Debt / equity | 0.89 | 0.00 |
| Current ratio | 1.15 | 1.02 |
| Altman Z (solvency) | 2.84 | 2.63 |
| Piotroski F (quality) | 4 / 9 | 6 / 9 |
Each week boothcheck ranks the stocks whose prices are betting on the most. Read the most stretched bets archive →
boothcheck is also on Android. Get the app on Google Play →
The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.